3. From the following items in a balance sheet, which is complete except as to the asset cash, determine the amount of cash:
- Capital $2,500.
- Supplies $87.50.
- Real estate $2,500.
- Ford delivery truck $575.
- Accounts receivable $2,280.
- Accounts payable $1,800.
- Notes receivable $300.
- Notes payable $500.
- Salaries due but unpaid $50.
- Mortgage on real estate $1,000.
4. The following data, complete excepting for the amount of a certain mortgage and interest accrued thereon, are taken from the records of Benjamin Goodwin for the year ending June 30, 19—. Determine the face amount of the mortgage payable, and the amount of the interest accrued thereon at 6% for one year.
- Cash on hand $75, and subject to check $1,200.
- Factory $6,100.
- Land $2,000.
- Office furniture $185.
- A three-year insurance premium
- was bought one year ago for $300.
- Accounts receivable $4,500.
- Goods on hand $2,800.
- Goods in process of manufacture $1,450.
- Raw materials inventory $2,250.
- Supplies $295.
- Accounts payable $9,150.
- Notes payable $4,650.
- Accrued wages $135.
- Mortgage payable and interest.
- Capital $5,000.
5. The following was taken from the books of the treasurer of the Yorktown Lodge:
- Balance in Fifth National Bank, January 1, 19—, $689.22.
- The receipts during the year were:
- Proposition fees $515.
- Initiation fees $2,510.
- Lodge dues $4,904.60.
- Interest on Liberty bonds $332.14.
- Summary disbursements for the year were:
- Grand lodge dues $554.
- Printing and postage $818.25.
- Entertainment $2,199.86.
- Sundries $216.20.
- Returned proposition fees $80.
- Rent for lodge room $750.
- Salaries $387.50.
- Charity $1,211.84.
- Supplies $38.80.
- Testimonial dinner $846.48.
- There is also cash $4,498.67, on deposit in the Irving Savings Bank
- December 31, 19—, on which interest at the rate of 4% per annum
- is now due for one-quarter.
- The treasurer holds $10,000 in Liberty bonds.
Submit statement showing the available balance of cash for the new year.
II
1. Make up three problems, using your own data, to illustrate the three types of business organization.
2. On January 2, 19—, Allen B. Dawes has in his business the following assets and liabilities which you are to classify for balance sheet purposes according to the definitions which have been given, changing the descriptions here used to standard titles: